President Dalia Grybauskaitė signed a decree submitting the Treaty on Stability, Coordination and Governance in the Economic and Monetary Union for parliamentary ratification. Lithuania, together with other 24 EU member states, signed the European Fiscal Compact on March 2 in Brussels.
According to the President, the Treaty is beneficial to Lithuania because it commits to stringent fiscal discipline and responsible economic policies.
“Lithuania is already implementing stringent fiscal policy rules. The Fiscal Compact will discourage excessive spending and financial populism. Regardless of which political party is in power, it will be obliged to deal with state finances in a responsible manner,” the President said.
Dalia Grybauskaitė underscored the long-term strategic importance of the Treaty to the whole of Europe, because it legally committed every signatory to keep to financial discipline. She pointed out that strict fiscal policies would help EU member states avoid insolvency problems, ensure their financial stability, prevent debt crises from arising in the future, and create a foundation for sustainable growth.